FW: SW flows

One more thing, we have no way of knowing what gas was bought at index vs. daily.

-----Original Message-----
From: Smith, Matt
Sent: Friday, May 11, 2001 2:00 PM
To: Weldon, V Charles
Subject: SW flows

Charles,

The attached table contains monthly flows to the referenced Southwest Gas meter points off of El Paso, Kern and PG&E. As I indicated earlier, SWG may have deliveries off of Socal which we would not be able to see. Also, there may be unidentified SWG meter points not included in the attached file, and we are missing some days of data so the actual numbers may be a little higher. Finally, if this data is used for pricing/hedging analysis, one should be careful which prices they use for comparison. SWG territory in California would be subject to California pricing, while that closer to the producing basins would be priced differently. In addition, Southwest Gas owns transport capacity on El Paso, such that they were really only vulnerable to San Juan or Keystone price fluxuations, and not Socal. You could only make a hedging estimate if you knew their transport capacity, which I do not (it is available on El Paso's website). Anyway, that's all I have.

Mat